Mount Pleasant, Michigan-based Isabella Bank Corp. has agreed to acquire Grandville, Michigan-based Grand River Commerce for roughly $54.6 million, the banks announced Monday.
Grand River Commerce’s subsidiary, Grand River Bank, will merge into Isabella Bank Corp.’s subsidiary Isabella Bank. The banks expect the transaction to close in the fourth quarter, they said.
“This partnership aligns with our disciplined, long-term strategic plan and importantly aligns and builds on shared common values and similar cultures,” Isabella CEO Jerome Schwind said in a news release.
The deal will bring Isabella into the Grand Rapids market, giving it access to a fast-growing Michigan metro area. West Michigan’s banking market holds over $38.3 billion in total deposits, Crain’s Grand Rapids Business reported.
The bank will expand its wealth services unit to the Grand Rapids market, Schwind noted.
The combined company will have $2.8 billion in assets and 33 locations across nine Michigan counties; and it will offer both personal and commercial lending and deposit products, as well as investment, trust and estate planning services.
Grand River is a fairly young and small bank, founded in 2009, and holding $511.7 million in assets. Isabella, by contrast, is well over a century old, having been founded in 1902.
“When we formed Grand River Bank, our goal was to create a strong, relationship-driven institution, defined not only by its growth and asset quality, but by the values and trust we’ve earned in the communities we serve,” Grand River CEO Robert Bilotti said in a prepared statement. “This partnership with Isabella Bank reflects those same principles and delivers a meaningful value to our shareholders, while positioning our customers, employees and communities to benefit from enhanced capabilities and continued relationship-based banking.”
